Ontologies for crisis contagion management in financial institutions

  • Authors:
  • Kang Ye;Shanshan Wang;Jiaqi Yan;Huaiqing Wang;Baiqi Miao

  • Affiliations:
  • Management School, University of Science and Technologyof China, China;Management School, University of Science and Technologyof China, China;Management School, University of Science and Technologyof China, China;Department of Information Systems, City University ofHong Kong, Hong Kong;Management School, University of Science and Technologyof China, China

  • Venue:
  • Journal of Information Science
  • Year:
  • 2009

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Abstract

What makes crisis management in financial institutions fairly unique and particularly complex is the accompanying crisis contagion or systemic risk. The subprime mortgage crisis currently happening in the USA is a typical example. In order to further deepen our understanding of how crisis contagion occurs and enhance information interchange and knowledge sharing among related entities, ontologies for crisis contagion management in financial institutions are proposed in this study. Three categories of ontologies, which include static ontology, dynamic ontology, and social ontology, are developed to deal with different perspectives in this domain. The three types of ontology are then united in the Ontology Web Language (OWL) and the Semantic Web Rules Languages (SWRL) framework, both of which are machine readable. Finally, the case of Long-Term Capital Management (LTCM) is offered to demonstrate how the proposed ontologies are used in financial institutions.